The Parkmead (PMG) AI Stock Analysis

• Market Cap: £23.27M
• Dividend Yield: N/A
• Average Volume (3M): 129.75K
• Price to Earnings (P/E): 2.2
• Beta (1Y): 1.16
• Revenue Growth: -29.14%
• EPS Growth: 48.67%
• Country: UK
• Employees: 10
• Sector: Energy
• Sector Strength: 52
• Industry: Oil & Gas Exploration & Production
• EPS (TTM): 0.08
• Shares Outstanding: 109,266,930
• 10 Day Avg. Volume: 228,177
• 30 Day Avg. Volume: 129,752
• PEG Ratio: 0.05
• Price to Book (P/B): 0.61
• Price to Sales (P/S): 4.04
• P/FCF Ratio: -6.23
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 65 Neutral
• Price Target: 24.00p ▲(65.52% Upside)
• Action: Reiterated Date: 02/11/26
• Date: Action: Reiterated 02/11/26

The score is primarily held back by volatile operating results and weak/negative recent cash generation despite reported profits, which raises earnings-quality concerns. A conservative, low-debt balance sheet and very low P/E support the rating, while the strong technical uptrend is tempered by overbought momentum signals that increase near-term pullback risk.

Positive Factors

Conservative balance sheet

Zero reported debt in 2025 and historically low leverage materially reduce refinancing and default risk. This financial conservatism gives the company enduring resilience through commodity cycles, preserves strategic optionality and supports funding for opportunistic projects without urgent external financing.

Upstream lifecycle exposure

Operating across exploration, appraisal, development and production creates structural optionality: exploration upside, development value uplift and production cash flows. That staged exposure lets management monetize assets via farm-ins/outs or disposals, supporting durable value creation beyond single-stage risk.

Equity cushion vs assets

A meaningful equity base relative to assets strengthens the company’s balance-sheet buffer against asset write-downs and downturns. This capital structure supports long-term project commitments, reduces creditor pressure during low-price periods and preserves capacity for selective capital allocation or M&A.

Negative Factors

Earnings quality concerns

Reported net profits in 2025 coexist with negative operating profit, indicating reliance on non-operating gains or one-offs. That undermines the persistence of reported earnings, complicates forecasting and means headline profits may not translate into durable cash or repeatable returns for investors.

Weak and inconsistent cash generation

Negative operating and free cash flow in the latest year, after prior variability, limits the company’s ability to self-fund capex, decommissioning or distributions. Persistent cash weakness increases reliance on asset sales or external capital, raising execution and timing risk for development plans.

Revenue & margin volatility

Multi-year swings in revenue and margins, including recent declines and low gross profitability, reduce visibility into sustainable margins and free cash generation. Such volatility hampers long-term planning, raises project underwriting risk and makes consistent shareholder returns harder to achieve.

The Parkmead Business Overview & Revenue Model

Company Description

The Parkmead Group plc, an independent oil and gas company, engages in the exploration and production of oil and gas properties in Europe, North America, and internationally. It operates through three segments: Oil and Gas Exploration and Production; Energy Economics; and Pitreadie. The Oil and Gas Exploration and Production segment invests in oil and gas exploration and production assets. The Energy Economics segment provides energy sector economics, valuation, and benchmarking, advising on energy policies and fiscal matters, undertaking economic evaluations, supply benchmarking services, and training. The Pitreadie segment is involved in mixed farming activities, as well as renewable energy opportunities. It produces from four gas fields in the Netherlands; and holds interests in a total of 22 exploration and production blocks. The Parkmead Group plc was incorporated in 2000 and is headquartered in Aberdeen, the United Kingdom.

How the Company Makes Money

The Parkmead Group makes money through the exploration and production of oil and gas. Revenue is primarily generated from the sale of hydrocarbons extracted from its operated and non-operated fields. Key revenue streams include the production of natural gas in the Netherlands and oil in the UK North Sea. Additionally, Parkmead may engage in strategic partnerships and joint ventures to optimize resource development and share operational risks. The company also seeks to increase revenue by expanding its asset base through acquisitions and applying advanced technologies to enhance resource recovery.

The Parkmead Financial Statement Overview

Summary

Strong balance sheet with zero debt supports resilience, but operating performance is volatile: 2025 saw revenue decline, weak gross profitability, negative operating profit, and negative operating/free cash flow despite very strong net margin—suggesting profits were driven by non-operating items and raising earnings-quality concerns.

Income Statement

Profitability is highly volatile. The latest annual period (2025) shows a sharp revenue decline (-7.8%) and very weak gross profitability (~9.6%), while operating profit is negative despite reported net income being strongly positive (net margin ~181%)—suggesting earnings are being driven by non-operating items rather than core operations. Results improved versus the very large loss in 2023, but the multi-year pattern alternates between strong profits and deep losses, limiting confidence in the durability of earnings.

Balance Sheet

Balance sheet looks conservative with very low leverage: debt is zero in 2025 and was modest in prior years (low debt-to-equity historically). Equity remains meaningful relative to assets, providing a cushion through commodity-cycle volatility. The main weakness is that shareholder returns swing widely year to year (including a very weak 2023), indicating underlying asset profitability is inconsistent even with a strong capital structure.

Cash Flow

Cash generation is inconsistent and currently weak: 2025 operating cash flow and free cash flow are both negative, following positive cash generation in 2023–2024. Cash flow has not reliably tracked reported profits (e.g., positive net income in 2025 alongside negative operating cash flow), which raises quality-of-earnings concerns. While free cash flow improved versus the prior year on a growth basis, the absolute level being negative is a key drawback.

Breakdown	Jun 2024	Jun 2023	Jun 2022	Jun 2021	Jun 2020
Income Statement
Total Revenue	4.05M	5.72M	14.77M	12.13M	3.61M
Gross Profit	389.00K	3.42M	12.53M	10.76M	1.77M
EBITDA	9.43M	2.29M	-36.68M	6.01M	-1.53M
Net Income	7.35M	4.94M	-42.33M	-814.00K	-13.81M
Balance Sheet
Total Assets	32.46M	27.27M	28.62M	86.32M	78.67M
Cash, Cash Equivalents and Short-Term Investments	13.68M	9.44M	11.58M	23.26M	23.38M
Total Debt	0.00	1.25M	1.46M	1.73M	1.25M
Total Liabilities	5.47M	7.63M	13.96M	29.32M	20.95M
Stockholders Equity	26.99M	19.64M	14.66M	56.99M	57.72M
Cash Flow
Free Cash Flow	-2.63M	1.12M	4.98M	745.00K	-1.96M
Operating Cash Flow	-2.48M	2.27M	6.53M	4.53M	-1.31M
Investing Cash Flow	6.73M	-3.85M	-17.69M	-4.14M	3.47M
Financing Cash Flow	-468.00K	-518.00K	-453.00K	-962.00K	-3.63M

The Parkmead Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 14.50
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:PMG, the sentiment is Positive. The current price of 14.5 is below the 20-day moving average (MA) of 19.74, below the 50-day MA of 16.68, and below the 200-day MA of 15.39, indicating a bullish trend. The MACD of 1.44 indicates Negative momentum. The RSI at 68.45 is Neutral, neither overbought nor oversold. The STOCH value of 72.00 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GB:PMG.

The Parkmead Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	65 Neutral	$15.17B	7.61	4.09%	5.20%	3.87%	-62.32%
PMG	65 Neutral	£23.27M	2.23	31.50%	―	-29.14%	48.67%
STAR	55 Neutral	£17.37M	-0.59	-29.57%	―	-20.85%	-105.70%
CAD	53 Neutral	£11.93M	6.01	-16.91%	―	-29.63%	-427.78%
EOG	53 Neutral	£19.74M	―	―	―	―	―
QHE	48 Neutral	£12.66M	-1.35	―	―	―	―
NOG	46 Neutral	£5.44M	-0.04	―	―	-10.73%	24.24%

The Parkmead Corporate Events

Parkmead Secures Shareholder Backing as All AGM Resolutions Pass

Parkmead said all resolutions put to shareholders at its Annual General Meeting on 23 December 2025 were duly passed, providing the board with continued shareholder backing for its strategic and operational plans. The approval reinforces the company’s position as a gas and renewables-focused energy player in the UK and Netherlands, supporting management’s ability to progress its existing production assets and expand its renewable energy portfolio.

The most recent analyst rating on (GB:PMG) stock is a Hold with a £17.50 price target. To see the full list of analyst forecasts on The Parkmead stock, see the GB:PMG Stock Forecast page.